Monetary Metals Finances Scottsdale Precious Metals at 5.5%
True gold lease finances vintage jewelry
Scottsdale, Ariz., May 2, 2017—Monetary Metals announces that it has provided gold financing to Scottsdale Precious Metals. The gross interest rate is 5.5%.
Monetary Metals purchased the inventory of Scottsdale Precious Metals, and leases it back. Monetary Metals paid for it in gold, and will receive its gold back in the end. This innovative True Gold Lease structure allows Scottsdale Precious Metals to make money, without the risk of volatile gold prices or the cost and complexity of hedging.
Monetary Metals raises gold from investors. Its unique model offers them a yield on gold, paid in gold®, while they retain title to their metal. The investors in this deal are getting a 3.5% gold-on-gold yield, and Monetary Metals earns a fixed spread between the gross rate paid by Scottsdale Precious Metals and the net rate paid to the investors.
“We are excited to do business with a local company that is saving great vintage jewelry from being melted down,” said Keith Weiner, CEO of Monetary Metals.
“The lease from Monetary Metals is transformative to our industry. Backed by this financing, we have a significant competitive advantage and expect to rapidly gain market share,” said Jon Goldberg, CEO of Scottsdale Precious Metals.
About Monetary Metals
Monetary Metals is unlocking the productivity of gold™ by offering a yield on gold, paid in gold® to investors, and Gold Financing, Simplified™ to gold-using businesses. The company also manages the Gold Exponential Fund™, and has other gold investments under development. Monetary Metals publishes groundbreaking research to help investors understand the emerging role of gold as the ultimate measure of wealth.
Daniel Rozzi, VP Relationships
About Scottsdale Precious Metals
Scottsdale Precious Metals purchases high-quality vintage jewelry that would otherwise be melted down for its gold and silver content. The company cleans each piece, and finds it a new home with someone who will enjoy it for many years to come.
Jon Goldberg, CEO